Kim Byung-hwan, "The additional interest rate of the banking sector and the reduction of the base rate should be reflected."

Kim Byung-hwan, chairman of the Financial Services Commission, has virtually demanded a reduction in the additional interest rate in the banking sector.

At a monthly press conference today (22nd), Chairman Kim pointed out that although the Bank of Korea cut its benchmark interest rate twice last year, the extent and speed of the cut were not sufficiently reflected in the banking sector.

He said there would be a time difference for the reduced base rate to be reflected in the loan rate, but stressed that it is time for banks to reflect it.

"I understand that some banks are considering lowering the additional interest rate this year," he said, adding that he will check in that direction.

Regarding the question of whether Lee Jae-myung, chairman of the Democratic Party of Korea, convened the 6th president of the bank and virtually pressured him to cut the additional interest rate, he said, "There were such concerns, but I understood that it was actually a place to listen to the opinions of the banking sector."

However, he explained that the government and political circles should be cautious about strongly intervening in the additional interest rate in the banking sector.